Solved

Pasta Ltd Acquired an 80 Per Cent Interest in Sauce

Question 17

Multiple Choice

Pasta Ltd acquired an 80 per cent interest in Sauce Ltd on 1 July 2004 for a cash consideration of $3,193,000.On the same date,Sauce Ltd acquired a 60 per cent interest in Cheese Ltd for a cash consideration of $1,340,000.The fair value of the net assets of each of the companies at acquisition is as follows: Pasta Ltd acquired an 80 per cent interest in Sauce Ltd on 1 July 2004 for a cash consideration of $3,193,000.On the same date,Sauce Ltd acquired a 60 per cent interest in Cheese Ltd for a cash consideration of $1,340,000.The fair value of the net assets of each of the companies at acquisition is as follows: Goodwill has been determined not to have been impaired.Information for the period ended 30 June 2005 for Sauce Ltd and Cheese Ltd is as follows: Neither dividend had been paid at the end of the period.There were no other intragroup transactions during the period.What is the minority interest in Sauce Ltd and Cheese Ltd as at 30 June 2005? A) B) C) D) E) None of the given answers. Goodwill has been determined not to have been impaired.Information for the period ended 30 June 2005 for Sauce Ltd and Cheese Ltd is as follows:
Pasta Ltd acquired an 80 per cent interest in Sauce Ltd on 1 July 2004 for a cash consideration of $3,193,000.On the same date,Sauce Ltd acquired a 60 per cent interest in Cheese Ltd for a cash consideration of $1,340,000.The fair value of the net assets of each of the companies at acquisition is as follows: Goodwill has been determined not to have been impaired.Information for the period ended 30 June 2005 for Sauce Ltd and Cheese Ltd is as follows: Neither dividend had been paid at the end of the period.There were no other intragroup transactions during the period.What is the minority interest in Sauce Ltd and Cheese Ltd as at 30 June 2005? A) B) C) D) E) None of the given answers. Neither dividend had been paid at the end of the period.There were no other intragroup transactions during the period.What is the minority interest in Sauce Ltd and Cheese Ltd as at 30 June 2005?


A) Pasta Ltd acquired an 80 per cent interest in Sauce Ltd on 1 July 2004 for a cash consideration of $3,193,000.On the same date,Sauce Ltd acquired a 60 per cent interest in Cheese Ltd for a cash consideration of $1,340,000.The fair value of the net assets of each of the companies at acquisition is as follows: Goodwill has been determined not to have been impaired.Information for the period ended 30 June 2005 for Sauce Ltd and Cheese Ltd is as follows: Neither dividend had been paid at the end of the period.There were no other intragroup transactions during the period.What is the minority interest in Sauce Ltd and Cheese Ltd as at 30 June 2005? A) B) C) D) E) None of the given answers.
B) Pasta Ltd acquired an 80 per cent interest in Sauce Ltd on 1 July 2004 for a cash consideration of $3,193,000.On the same date,Sauce Ltd acquired a 60 per cent interest in Cheese Ltd for a cash consideration of $1,340,000.The fair value of the net assets of each of the companies at acquisition is as follows: Goodwill has been determined not to have been impaired.Information for the period ended 30 June 2005 for Sauce Ltd and Cheese Ltd is as follows: Neither dividend had been paid at the end of the period.There were no other intragroup transactions during the period.What is the minority interest in Sauce Ltd and Cheese Ltd as at 30 June 2005? A) B) C) D) E) None of the given answers.
C) Pasta Ltd acquired an 80 per cent interest in Sauce Ltd on 1 July 2004 for a cash consideration of $3,193,000.On the same date,Sauce Ltd acquired a 60 per cent interest in Cheese Ltd for a cash consideration of $1,340,000.The fair value of the net assets of each of the companies at acquisition is as follows: Goodwill has been determined not to have been impaired.Information for the period ended 30 June 2005 for Sauce Ltd and Cheese Ltd is as follows: Neither dividend had been paid at the end of the period.There were no other intragroup transactions during the period.What is the minority interest in Sauce Ltd and Cheese Ltd as at 30 June 2005? A) B) C) D) E) None of the given answers.
D) Pasta Ltd acquired an 80 per cent interest in Sauce Ltd on 1 July 2004 for a cash consideration of $3,193,000.On the same date,Sauce Ltd acquired a 60 per cent interest in Cheese Ltd for a cash consideration of $1,340,000.The fair value of the net assets of each of the companies at acquisition is as follows: Goodwill has been determined not to have been impaired.Information for the period ended 30 June 2005 for Sauce Ltd and Cheese Ltd is as follows: Neither dividend had been paid at the end of the period.There were no other intragroup transactions during the period.What is the minority interest in Sauce Ltd and Cheese Ltd as at 30 June 2005? A) B) C) D) E) None of the given answers.
E) None of the given answers.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q12: It is not possible for one entity

Q13: The following is an extract from the

Q14: The following acquisition analysis relates to a

Q15: Non-sequential acquisition is when a parent acquires

Q16: The following diagram represents the ownership of

Q18: The non-controlling interest in post-acquisition movement in

Q19: Rose Ltd acquired a 75 per cent

Q20: In calculating indirect minority interests,intragroup transactions need

Q21: The following is an extract from the

Q22: The following diagram represents the ownership of